AT&T

This Friday AT&T is expected to text its iPhone customers in groups every hour, notifying them that MMS is finally ready for action on their iPhone. Some reports have indicated this process could start as early as 10AM Eastern Time.

MMS will be activated by a carrier settings update from iTunes. The service will make it possible to send photos and videos along with text to other mobile devices without using email. MMS will not be supported on the original (2G) iPhone.

With the upcoming late release of MMS for the iPhone, AT&T is struggling to maintain a positive image with its subscribers. Reports have suggested their latest efforts will either come under the category of "too little, too late" or "my iPhone has more features on AT&T."

Reports are circulating that the company is developing features for the iPhone that will be exclusive to AT&T, even after the iPhone is available on other carriers in the US. Improvements in the works mainly add features to the existing visual voicemail system.

Next year could be it for AT&T. Customers are losing patience with spotty service. Lawyers are filing class action lawsuits about the lack of MMS. Now Piper Jaffray senior research analyst Gene Munster has forecast the end of Apple's iPhone exclusivity deal with AT&T.

According to Munster, the economics of the situation don't make sense for Apple, as evidenced with the success they've had in France moving to a multiple carrier business model. Market share for the iPhone in France has increased to 40 percent since they ended an exclusive deal with Orange.

With the MMS debacle ongoing, iPhone users are desperately looking for reasons to like AT&T. The company has started its 850MHz spectrum upgrade, which should improve signal strength in buildings and overall quality.

iPhone users in some urban areas are already reporting improved 3G reception and performance. AT&T has confirmed upgrades in Atlanta, Las Vegas, San Diego, Fresno and Stockton CA. Atlanta, for example, is in the process of getting 540 new 850 MHz cell sites next to the existing 1900 MHz towers.

Update: Apple iPhone 3G and 3GS will support MMS. AT&T will begin support of MMS on their network starting on September 25, 2009.

iPhones across the world have had MMS (Multimedia Messaging Service) capability since the iPhone 3GS was released on June 19. Apple declared that AT&T would make MMS available to its customers in "late summer" of this year.

Well it's getting close to crunch time for AT&T. Last time we checked, the second half of August can be referred to as "late summer" here in the Northern Hemisphere. There's been no MMS news except for disgruntled iPhone owners complaining.